annual report - Pumpkin Patch investor relations

EXTERNAL AUDITOR INDEPENDENCE
To ensure the independence of the CompanyÕs external auditor is maintained the Board
has agreed the external auditor should not provide any services not permitted under
IFAC (International Federation of Accountants) auditor independence regulations. The
Audit and Risk Committee review services provided by the external auditor to ensure
the company complies with this policy.
RISK MANAGEMENT
The Company recognises that in order to achieve its business plans and strategic
goals, there must be a thorough understanding across the Group of the risks that
may affect the ability of the Group to achieve those plans and goals. Throughout all
of its business operations the Group has in place processes and systems which are
designed to identify, assess, monitor and manage risk.
- The Board satisfies itself that adequate external insurance cover is in place
appropriate for the GroupÕs size and risk profile;
- The Board satisfies itself that adequate Health, Safety and Environmental Protection
Policies and hazard assessments are in place and monitors performance;
- The CEO and Chief Financial Officer also provide a declaration that the financial
statements of the Group present a true and fair view, in all material respects of the
GroupÕs financial position and operating results. The CEO and Chief Financial Officer
are able to make this declaration having regard to the GroupÕs sound system of risk
management and control.
The Board considers that the corporate governance principles followed by the Group
do not materially differ from the NZX Corporate Governance Best Practice Code.
The Board has ultimate responsibility for internal control and compliance across
the Group.
Accordingly, the Board manages risk in the following ways:-
- The Board of Directors has oversight of risk management initiatives, policies and
practices and is assisted in this regard by the Audit & Risk Committee in identifying
risks which may have a material impact on the GroupÕs business;
- The Chief Executive Officer (CEO) and Senior Executives of the Group are
responsible for designing and implementing risk management and internal control
systems which identify material risks that the Group faces as well as managing risk
across the Group, and are required to report to the Board through the CEO. This
includes the identification, assessment, reduction, management and monitoring of
risk, as well as identifying any material changes to the GroupÕs risk profile. These
are required to be reported to the Board at regular intervals;
- There is regular assessment by the Board of strategic risks affecting the GroupÕs
operations and the establishment of controls to reduce their impact. This includes
maintaining all relevant registrations and approvals in relation to business operations.
On a regular basis the Board also reviews the GroupÕs internal controls and risk
management practices to ensure that they are adequate and reflect the GroupÕs
risk profile;
- Risk assessments are conducted for all major work initiatives, where new projects
are undertaken;
- There is periodic verification of risk controls at various levels across the GroupÕs
operations;
- The Group has established a range of policies and procedures aimed at assisting
in the management of risk across the GroupÕs operations;
20
years
young
27